TSX Trims Early Gains to 25 Points at Midday As Energy Stocks Weigh
The TSX was still in the green but reduced its earlier advance to just 25 points at midday, as energy stocks continued to take a beating from falling oil prices .
Oil prices were lower on Wednesday after the EIA reported more crude oil pumped into an already oversupplied market. According to the agency, U.S. crude oil inventories increased by 4.7 million barrels in the prior week. The benchmark Brent was down 1.94% at US$48.56/barrel, while the WTI slipped 1.78% to US$45.12/barrel.
Meanwhile, investors are hopeful China's government will deliver on its promise of strengthening its monetary policy, expediting tax reforms, and boosting infrastructure spending to save the dwindling economy. Consequently, copper prices were up modestly at US$2.4365/lb.
The mining group rose 1.75% and was followed by industrials, which gained 0.67%. Financials edged up 0.43%. The energy sector was the sole decliner, shedding 0.49%.
Total volume traded so far reached 127.4 million shares. Bombardier (BBD-B.TO) was the most actively traded stock.
Copyright (C) 2016 MTNewswires.com. All rights reserved. Unauthorized reproduction is strictly prohibited.